Caltrans' suspending work on Willits bypass

WILLITS, Calif. (KGO) -- Caltrans is suspending all construction on a troubled freeway project beginning Tuesday.

Caltrans is working on a six-mile freeway bypass around the town of Willits on Highway 101 in Mendocino County. The project goes through federally protected wetlands and streams.

Two weeks ago, the Army Corps of Engineers ordered Caltrans to stop work in some areas because Caltrans was way behind on environmental improvements. There are also significant questions about financial issues on the project.

Monday, Caltrans announced it will suspend work on the entire construction site and lay off about 100 people while the two agencies try to reach agreement.